Thursday, November 18, 2010

Important day for the dollar

The dollar got rejected today right at the ascending trendline today only to find support at the MA(50). This also happens to be area of support from the double top formed in October. I had written a post earlier on why the MA(50) level is so important specifically for the dollar. So, will the MA(50) act as support tomorrow or will it get broken, starting a move down to MA(20)? That's what makes the action in dollar so important tomorrow in my opinion. And of course, a close above Tuesday's highs would be really bullish and would signal further downside in the overall markets.

Here is the link to today's Chart of the Day.

Take care and good luck!

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